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Parcel NDC Delivery Charges | Guidelines for Fixing & Payment of Fuel Reimbursement charges to delivery staff engaged at NDCs | PNOP

 No. 18-02/2022-PD

Government of India Ministry of Communications Department of Posts

Parcel Directorate

Malcha Marg, Chanakyapuri, New Delhi -110021

Dated:  6th May 2022


Subject: - Guidelines for Fixing & Payment of Fuel Reimbursement charges to delivery staff engaged at NDCs/Delivery Post offices using personal two wheelers for Parcel delivery

1.  Background: Parcel Network Optimization Project (PNOP) was undertaken by India Post to streamline parcel operations. As a part of project, processes for all Parcels Operations were redesigned. To ensure effective and efficient last mile doorstep delivery of parcels, concept of Nodal Delivery Centre was introduced wherein Parcels meant to be delivered through more than one delivery post offices were brought at one Nodal Delivery Centre for delivery using two- wheelers and four-wheelers depending on the size and weight of the parcels. Detailed guidelines regarding mechanized delivery of parcels through Nodal Delivery Centers/ Delivery post offices have been circulated vide Parcel Directorate letter no. 18-24/2019-PD dated 18.06.2019. 

Delivery through two wheelers is not only necessary for expedited delivery of the parcels but also to improve productivity of delivery staff by enabling delivery of a greater number of parcels by a delivery staff in a day.

2.   Present System of reimbursement for Fuel Charges: To compensate the fuel and maintenance charges of personal two- wheeler used by the delivery staff deployed at Nodal Delivery Centers for effecting delivery of parcels, Department has issued guidelines on 6th November 2017 for reimbursement of fuel charges to the delivery staff who deliver parcels through their two wheelers.

2.1  In order to streamline the process of reimbursement of fuel charges to delivery staff working at NDCs / Post Offices in respect of mechanized beat for parcels, it has been decided to issue revised guidelines taking into consideration the variation in fuel rates in various states and the charges incurred on periodic maintenance of two wheelers.

3.   Applicability of Guidelines: - The guidelines for reimbursement of fuel charges will be applicable to following categories of delivery staff engaged in all Nodal Delivery Centers / Parcel Delivery Beats:

(i) Regular Postman staff

(ii) Beat manned by GDS staff and GDS staff deployed as a postman in case of vacant posts 

(iii)Other Departmental staff being engaged for delivery work e.g MTS deployed as Postmen 

(iv)Outsourced delivery staff deployed at NDC/ Delivery Post office

(v) Parcel Delivery Beats where rationalization of beats has been done and delivery of all kinds of parcels are being done through mechanized beats only as per guidelines mentioned in para 1 above.

3.1  These guidelines would not be applicable in the following cases: -

(i)  Delivery of Parcels being done through Outsourced Postal Agents (OPAs) or franchisees, as they are already being paid consolidated delivery charges for delivery through two wheelers.

(ii) NDCs / Delivery post offices where Department has provided two wheelers / electric bikes to delivery staff for delivery of parcels.

(iii) Delivery staff who are not using Postmen Mobile Application while performing delivery of parcels in their beats. PMA can be used in the personal mobile devices of the delivery staff where the mobile phones have not been provided by the department.

3.2 It is also clarified that in such cases, where fuel charges are being reimbursed to delivery staff, coolie charges would not be paid to delivery staff.

4. Delivery Norms for delivery through two—wheelers: - As laid out in instructions circulated to the circles vide Parcel Directorate letter no. 18-24/2019-PD dated 18.06.2019, a two-wheeler beat is designed for the Nodal Delivery Centre / Post offices, (where rationalization of beats has been done and delivery of all kinds of parcels are being done through mechanized beats only) is capable 

for delivery of 50-60 parcels in two trips i.e., 30-35 parcels in first trip and remaining parcel in the second trip.

5. Modalities for allowing reimbursement for fuel charges: - Following documents are to be checked and kept in guard file to be maintained for this purpose in NDC / Post Office before allowing the reimbursement of vehicle mileage charges to the delivery staff:

(i) Valid 2-wheeIer driving license in the name of the person doing delivery through two-wheeler

(ii) Copy of Registration certificate of the two-wheeler

(iiii) Copy of insurance certificate of the two-wheeler

(iv) Vehicle should be owned by the delivery staff. In case it is owned by the immediate family members of the delivery staff, a declaration to this effect from the delivery staff should be obtained and placed in guard file at NDC/Delivery Post office.

6. Fixation & Review of Rate of reimbursement of Fuel Charges to delivery staff: In view of fact that fuel charges vary from state to state, it has been decided to arrive at a calculation method for calculating reimbursement of fuel charges. Moreover, two wheelers also require regular maintenance. Keeping all these parameters in consideration, it has been decided that the rate of reimbursement to be paid to the delivery staff would be decided as per formula placed below: -

Total fuel reimbursement charges paid to delivery staff per km = Average expenditure on periodic maintenance per km. (Rs. 0.98) + Average fuel charges per km

Average Fuel Charges per Km (i.e Fuel price in the respective state / Average mileage of the bike i.e 40 Km / Litre)

6.1  A sample calculation for reimbursement of fuel charges to delivery staff engaged for delivery of parcels in NDCs / Post offices having mechanized beats in six metro cities would be as under:

Name of State - Calculation as per formula* - Reimbursement charges per Km.

Delhi - 0.98+105.41/40 - 3.61/-

Kolkata- 0.98+115.12/40 - 3.85 /-

Mumbai - 0.98+120.50/40 - 3.99 /-

Chennai- 0.98+110.95/40 - 3.75 /-

Hyderabad - 0.98+119.49/40 - 3.97 /-

Bengaluru - 0.98+100.58/40 - 3.49 /-

*(Petrol prices as on 06.04.2022)

6.2  Fuel reimbursement charges would be rounded off to the nearest whole numbers while making payment to delivery staff on the monthly basis only.

6.3  If more than one States / Union territories are falling under one Circle, rates may be fixed separately for NDC/Delivery post offices falling under a particular state by the circles.

6.4  Circles will notify the rates for reimbursement of fuel charges to be paid to delivery staff in their circles for this financial year 2022-23 by 25.05.2022 with intimation to Parcel Directorate. Petrol prices for calculating fuel charges per Km. would be taken into account as on 

15ᵗʰ of April for this year and 15th of March for upcoming financial years. The revised mileage rates for this financial year (2022-23) would be applicable w.e.f 01.06.2022. For subsequent years it would be applicable from 1st of April of each financial year.

7.   Manner of submission of Fuel Reimbursement claim form by the delivery staff: The delivery staff will submit a Fuel Reimbursement claim form for reimbursement of fuel charges in the prescribed format (Annexure-I) on the 1st working day of month for the previous month with details of number of parcels delivered on each date along with distance travelled in the month for which fuel reimbursement charges are being claimed.

8. Action by APM Mails/ NDC/ Post office In-Charge: APM (Delivery)/Postmaster or any other official supervising the delivery work at NDCs / Post office will randomly check the genuineness of the delivery of parcels at the door step of addressee in respect of at least 5 parcels from the delivery manifest through the “PMA-Beat Delivery Report” available on CEPT MIS portal on a daily basis. To calculate the distance travelled through 2-wheeIer vehicle by delivery staff, meter reading of the 2-wheeIer vehicle before the delivery staff departs for the delivery and return from the delivery will also be noted down in a Register available with the APM(Mails) / In-Charge Nodal  Delivery Centre for every round of delivery.

9. Accounting and Payment of Fuel Reimbursement Charges: After checking the entries made by the delivery staff in the Fuel Reimbursement Form by the delivery staff, the APM (Delivery)/Postmaster /In charge NDCs will ensure to submit the bills to the Divisional Office for sanctioning the same by 05th of each month. Concerned Divisional Heads will sanction the bills of Fuel Reimbursement charges by 07th of each month.  Payment of reimbursement of fuel charges to the delivery staff would be done on monthly basis by 10th of each month after following due codal formalities by concerned Post masters / In-charge Nodal Delivery Centers. Payment of fuel reimbursement charges to delivery staff would be met from the allotment made

in Head of Account “Operational expenses of All India Postal Road Network and Nodal Delivery Centers 3201-02-101-04-02-28 & 2552-00-807-04”-02-28 (NE)” to the circles.

10.  Documentation at NDC/ HO/SO: A Payment Register for payment of reimbursement charges to the delivery staff will be kept by the APM (Delivery)/Postmaster or any other official supervising the delivery work in the format as attached at Annexure II. Divisional / Sub Divisional Heads will check the payment register during their visits

11.  All Head of Circles are requested to fix the fuel reimbursement charges to be paid to the delivery staff latest by 25th of May 2022 as per guidelines mentioned above and an action taken report may be shared with parcel Directorate latest by 31th May 2022.

12.  This issues with the approval of the competent authority.

(K. Ranjith Kumar) Deputy General Manager

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